Question

Taylor Smith is a singer who has experienced international success in her career. On May 1, 2020, Taylor started her business, Glitter and Gold Studio, where she teaches singing. The following activities occurred during July, the third month of operations:

July	1	Purchased supplies including sheet music on credit for $300.
	2	Collected $6,600 in advance for singing lessons to be delivered in August.
	3	Collected $3,300 for teaching singing lessons in July.
	4	Paid $4,300 to rent her music studio for the month of July.
	5	Paid $600 for supplies purchased on account last month.
	15	Taylor Smith withdrew cash of $550 to do some personal shopping on the weekend.
	20	Paid her assistant wages of $1,200.
	31	Purchased new microphone equipment on credit for $950.

Answer 1

Journal Entry
Date	Particulars	Dr. Amt.	Cr. Amt.
1-Jul	Supplies	300.00
	Accounts Payable		300.00
	(Record purchase of supplies on credit)
2-Jul	Cash	6,600.00
	Unearned Service Revenue		6,600.00
	(Record advance received for singing classes)
3-Jul	Cash	3,300.00
	Service Revenue		3,300.00
	(Record fees received for singing classes)
4-Jul	Rent Expense	4,300.00
	Cash		4,300.00
	(Record rent paid)
5-Jul	Accounts Payable	600.00
	Cash		600.00
	(record the amount paid to accounts payable)
15-Jul	Taylor Smith, Withdrawls	550.00
	Cash		550.00
	(record the amount withdraw for personal use)
20-Jul	Salaries & Wages Expense	1,200.00
	Cash		1,200.00
	(Record the wages paid to assistant)
31-Jul	Equipment	950.00
	Accounts Payable		950.00
	(Record purchase of equipment on credit)